Aspects Furniture Int'l, Inc. v. United States
| Citation | 510 F.Supp.3d 1353 |
| Decision Date | 09 April 2021 |
| Docket Number | Consol. Court No. 18-00222,Slip Op. 21-39 |
| Parties | ASPECTS FURNITURE INTERNATIONAL, INC., Plaintiff, and IMSS, LLC, Consolidated Plaintiff, v. UNITED STATES, Defendant. |
| Court | U.S. Court of International Trade |
Robert W. Snyder and Laura A. Moya, Law Offices of Robert W. Snyder, of Irvine, CA, argued for Plaintiff and Consolidated Plaintiff.
Marcella Powell, Senior Trial Counsel, Commercial Litigation Branch, Civil Division, U.S. Department of Justice, of New York, NY, argued for Defendant. With her on the brief were Brian M. Boynton, Acting Assistant Attorney General, Jeanne E. Davidson, Director, Justin R. Miller, Attorney-in-Charge, International Trade Field Office, Aimee Lee, Assistant Director, and Hardeep K. Josan, Trial Attorney. Of counsel on the brief was Paula Smith, Office of the Assistant Chief Counsel, International Trade Litigation, U.S. Customs and Border Protection.
In this consolidated action, Plaintiff Aspects Furniture International, Inc. ("AFI") and Consolidated Plaintiff IMSS, LLC ("IMSS") (together, "Consolidated Plaintiffs") contest the denial of their respective protests challenging U.S. Customs and Border Protection's ("CBP" or "Customs") allegedly untimely assessment of antidumping duties on the entries associated with those protests. The matter is before the court on Defendant's ("the Government") motion for summary judgment pursuant to U.S. Court of International Trade ("USCIT" or "CIT") Rule 56 and Consolidated Plaintiffs’ cross-motion for summary judgment. See Def.’s Mot. for Summ. J., and accompanying Mem. in Supp. of its Mot. for Summ. J. in the Consol. Action ("Gov't’s Mot. Summ. J."), ECF No. 73; [Consol. Pls.’] Cross-Mot. for Summ. J. and Opp'n to [the Gov's] Mot. for Summ. J., and accompanying Mem. in Supp. of Their Cross-Mot. for Summ. J. and in Opp'n to [the Gov't’s] Mot. for Summ. J. ( ), ECF No. 79.
For the reasons discussed herein, the court will grant the Government's motion for summary judgment as to all subject entries and deny Consolidated Plaintiffs’ cross-motion for summary judgment.
The party seeking summary judgment must show that "there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law." USCIT Rule 56(a). Movants should present material facts as short and concise statements, in numbered paragraphs, USCIT Rule 56.3(a), and cite to "particular parts of materials in the record" as support, USCIT Rule 56(c)(1)(A). In responsive papers, the opponent "must include correspondingly numbered paragraphs responding to the numbered paragraphs in the statement of the movant." USCIT Rule 56.3(b).
In this case, Parties submitted a joint statement of undisputed material facts and a joint statement of undisputed facts except as to their materiality. See Jt. Stmt. of Undisputed Mat. Facts ("JSMF"), ECF No. 74 at ECF pp. 1–5; Jt. Stmt. of Undisputed Facts, Except as to Their Materiality ("JSF"), ECF No. 74 at ECF pp. 5–6. Consolidated Plaintiffs submitted additional facts they assert are material and not subject to genuine dispute, to which the Government has responded. See [Consol. Pls.] Rule 56.3 Stmt. of Add'l Mat. Facts as to Which There are no Genuine Issues to be Tried ( ), ECF No. 79; Def.’s Resp. to Pls.’ Rule 56.3 Stmt. of Add'l Mat. Facts ( ), ECF No. 80.
Upon review of Parties’ statements of facts (and supporting exhibits), the court finds there is no dispute regarding the following facts that are material to resolving the substantive issues in this case or relevant to the arguments presented.1
The imported merchandise at issue in this case consists of wooden bedroom furniture from the People's Republic of China. JSMF ¶ 1.2 On April 11, 2016, the U.S. Department of Commerce ("Commerce") published the final results of its tenth administrative review of the antidumping duty order on wooden bedroom furniture from China. Id. ¶ 3; see also Wooden Bedroom Furniture From the People's Republic of China , 81 Fed. Reg. 21,319 (Dep't Commerce Apr. 11, 2016) (final results and final determination of no shipments, in part; 2014 admin. review) ("Final Results ").
On April 26, 2016, the American Furniture Manufacturers Committee for Legal Trade and Vaughan-Bassett Furniture Company, Inc. commenced an action challenging the Final Results. JSMF ¶ 4 (). On April 27, 2016, the court issued a statutory injunction to enjoin the liquidation of certain entries in the AFMC litigation. Id. ¶ 5. On March 13, 2017, the court dismissed that lawsuit for lack of subject matter jurisdiction. Id. ¶ 6 (). Neither the court's judgment in the AFMC litigation nor the court's opinion referenced any removal of the suspension of liquidation related to the statutory injunction. See generally AFMC Op. & J.3
On March 29, 2017, CBP published the court's opinion in the AFMC litigation in its Customs Bulletin and Decisions Official Reporter. JSMF ¶ 7. "On May 12, 2017, the March 13[, 2017] judgment issued in the AFMC [litigation] became final and conclusive." Id. ¶ 8.
Liquidation instructions concerning antidumping and countervailing duties "are created and issued in CBP's Automated Commercial Environment (ACE)." Id. ¶ 9. Certain Commerce employees "have direct login access to ACE." Id. ¶ 10. To issue liquidation instructions, a Commerce employee logs into ACE, creates a message and the content contained therein, and uploads that message into ACE. Id. ¶¶ 11–12. "ACE automatically assigns the message an internal message number ...." Id. ¶ 13. Customs personnel monitor ACE for new messages. Id. ¶ 14. When a new message appears, it is "assigned to a CBP employee." Id. ¶ 14. That employee "reviews the message and ‘activates’ it in ACE." Id. ¶ 15. "Upon activation, ACE assigns the message a ‘Message Number.’ " Id. ¶ 15. "CBP does not change the content of the message in any manner." Id. ¶ 16. Upon activation, "CBP personnel can view and implement the message." Id. ¶ 17. Additionally, "[m]embers of the importing community can ... view any unrestricted messages in ACE." Id. ¶ 17.
On May 2, 2016, CBP activated a message created by a Commerce employee in ACE, and ACE designated the message as Message No. 6123302. JSF ¶ 1. Message No. 6123302 pertained to the statutory injunction entered in the AFMC litigation on April 27, 2016 and noted that the injunction was effective as of April 27, 2016. Id. ¶¶ 2, 5.
On May 30, 2017, a Commerce employee created and uploaded another internal message in ACE relevant to the AFMC litigation. JSMF ¶ 18. "CBP activated [that] message in ACE on May 30, 2017 without change, and ACE assigned it Message No. 7150306." Id. Message No. 7150306 stated that the injunction entered in the AFMC litigation and to which Message No. 6123302 referred "dissolved on May 12, 2017." Id. ¶ 19. Message No. 7150306 is dated May 30, 2017 and contained an effective date of May 12, 2017. Id. ¶¶ 20–21. Message No. 7150306 is publicly accessible. See Gov't's Mot. Summ. J., Ex. A., Decl. by Brad Dauble ("Dauble Decl."), Ex. B (Message No. 7150306, designated as public), ECF No. 73-2.
There are ten entries at issue with respect to AFI. On November 24, 2017, CBP liquidated nine of those entries (hereinafter, "AFI's nine subject entries").4 JSMF ¶ 26. The tenth entry, Entry No. W69-3327386-5 (), liquidated by operation of law (alternately referred to as a "deemed liquidation"). Consol. Pls.’ SMF ¶ 1; Gov't's Resp. to Consol. Pls.’ SMF ¶ 1. Customs did not provide notice of the deemed liquidation. Consol. Pls.’ SMF ¶ 3; Gov't's Resp. to Consol. Pls.’ SMF ¶ 3. Documents CBP filed with the court state that AFI's tenth subject entry was "Liquidated" on December 1, 2017. JSMF ¶ 27.
A "final antidumping duty rate of 216.01 percent was assessed on [all ten AFI entries] ... pursuant to Message No. 7150306." Id. ¶ 28. The court previously held that AFI timely protested all ten liquidations before CBP "and CBP denied the protests." Id. ¶ 29 (citing Aspects Furn. Int'l, Inc. v. United States ("Aspects I "), 43 CIT ––––, 392 F. Supp. 3d 1317 (2019) ).
At issue with respect to IMSS is Entry No. 201-3112876-0 (hereinafter, "IMSS's subject entry"). Id. ¶¶ 22–25. IMSS's subject entry liquidated by operation of law. Id. ¶ 22. Customs did not provide notice of the deemed liquidation. Consol. Pls.’ SMF ¶ 5; Gov't's Resp. to Consol. Pls.’ SMF ¶ 5. Customs reliquidated the entry "on February 28, 2018 at the final antidumping duty rate of 216.01 percent." JSMF ¶ 23. That rate was assessed on the entry "pursuant to Message No. 7150306." Id. ¶ 24. IMSS "timely protested the reliquidation and the protest was denied by operation of law." Id. ¶ 25.
AFI timely commenced Court No. 18-00222 on October 27, 2018. See Summons. On June 21, 2019, the court denied the Government's partial motion to dismiss for lack of subject matter jurisdiction. Aspects I , 392 F. Supp. 3d 1317. On August 17, 2020, the court granted AFI's motion for leave to file a first amended complaint. Aspects Furn. Int'l, Inc. v. United States , 44 CIT ––––, 469 F. Supp. 3d 1359 (2020). In that decision, the court denied as moot Defendant's motion for judgment on the pleadings and AFI's cross-motion for partial judgment on the pleadings. See id.
IMSS timely commenced Court ...
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